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Technology Stocks : All About Sun Microsystems
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To: Sam Citron who wrote (63570)12/23/2005 4:26:17 PM
From: QwikSand  Read Replies (1) of 64865
 
I agree, Schwartz' statement is a fish story. Some of your estimates are low. The lowest estimate I've seen for number of GOOG servers is 40,000, the highest 100,000, and the 100 watt number also seems arbitrary--how many watts does an idle Xeon burn, forgetting about N petabytes of disk storage?

But it doesn't matter. GOOG probably has an annual payroll/benefits tab soon to approach $1B. The electricity bill is not comparable. Like any software company, the largest expense by far is people.

But expenses are expenses. Their server count and power bill are only going to grow. Why not operate as efficiently as possible? No business is going to consider a savings of perhaps tens of millions per year (in the near future) as immaterial, even if it's not the most significant line on the income statement.

--QS
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